or lower rate. >> you have time for one more? let's just look. 15 seconds. the dow industrial is up 289. it's been a good day here. thanks for being with us. thanks for watching power lunch. >> welcome the closing bell here at the new york stock exchange. this make or break our begins at this questions, whether investors should begin for a pullback or another pop in stocks in the quarter ahead. we will ask the experts. in the meantime, your scorecard with 60 minutes to go in regulation looks like that. in the nasdaq, we been positive for the dow and the s and p for much of this day. were putting in solid gains today from the healthcare space, and honeywell is also a standout in the session. as for technology declines, and video was waiting on that

sector for much of the day. you see they are still in the red. apple and tesla are higher. apple, the worst-performing mega tech cap stock this year. by the way, eric woodring of morgan stanley joins us shortly with his take on what could turn that stock around. it does take us to what lies ahead for stocks at large for tech as a sector and for the broadening of this market. let's ask dan greenhouse. he's here with us at post nine. i know you are as excited as we are. >> i want to be here and contribute to the show. >> good stuff. what about the momentum of the rally? is it waning? is that a negative sign, or is that a rest and refresh as we round out another good quarter? were going to be five months in a row up for stocks, and we just carry this momentum as we begin a new quarter. >> in the context of what we have experienced off the october low, call it a 30% plus rally for the index, more for a number of names driving the

gains. some level of breather. we talked about this. a number of people on the show have known this. some breather into earnings season, probably not unwarranted. >> were able to go up without tech, and that has to be viewed, i would think, is a positive sign in the overall direction. >> sure. i talked about this for a year. the industrials based continues to be a standout. energy is suddenly back on the tip of everybody's tongue. a number of names and that base. >> it's been the leading space this month. >> that's right. obviously, it isn't rading that quickly, but i think there are a number of the names in the energy space that are fundamentally good. they're playing a bit of catch up here being is under own as it is. you have to take the bracketing out of the market as a positive. >> we did our investor survey were we asked many of the folks who ended up coming on the network and talking about the

markets. do you think the market has run too far, too fast? almost two thirds said, yes, we are in for a pullback. >> i didn't contribute to that survey. listen, we talked about this in the past over the years. i struggle with the phrase too far, too fast. i don't know what that means. no one has ever really defined that. do i think at a point like joe has made in the past, is the index too far away from it 200 a moving average? probably. and some level of a pause is probably worthy. if that's your barometer for too far, too fast, it's probably gone too far too fast. that doesn't mean that you need to have some 15% ecline in equities to restore equilibrium. it just means you can't keep going up at the pace we have been going up, and there's nothing particularly difficult or unusual about that. >> if he gets too far, too fast, is that because of

pending rate cuts? in the same survey, when you ask, you know, how many times is the fed going to cut rate in 2024, two is almost two thirds of the vote. so the market thinks three, the fed suggests 3. our smart investors and market watchers inc., no, more likely, two. >> i thought that more likely two was the over under, maybe three. but the market was always -- the feds and futures pricing was always incorrect. i'm not really sure how to explain to viewers why that is, other than to say six or seven rate cut was almost never going to happen unless you had some sort of meaningful drop off, the likes of which i and numerous other people did not ask. we call the over under two for the year, everyone in the summer, we sneak one more in before the summer or shortly thereafter. i don't think that really matters, per se. you've seen this 30% rally we've had has come as a scaled back those expectations, as treasury yields are backed up.

you have burning out in the market and a perpetual fire, both of which are positive and independent, really, what the fed is likely to do. >> what if we don't get any cuts? the former morgan stanley ceo suggested on the network, i would be surprised if they move in the first half of this year. i would be surprised if they didn't do anything this year. >> i still think the over under 2.5. >> you think nvidia is earning 30 bucks or whatever, and whether the fed cuts once or twice? no, i don't think that matters. i think google is going to have an eight dollars with the fed cuts or not? i think they do. or at least, i should say the market thinks they do. i think there's so much weight being put on the feds,'s bill, in an environment where i don't think the fed matters nearly as much as it has at intermittent. over the first 10 or 15 years, but let's call it the last two or three. >> doesn't matter to certain trades? you can't possibly tell me that, well, they might take

none, and the rest will do well. >> that's fair. there are different trades. the russell, obviously being in the next more heavily weighted towards variable weight that is probably a little more susceptible. but google and apple, et cetera, these are not long duration equities. >> you are making the case that we got to continue to play towards the top half of the market? that's why they continue to do well? because of example you just gave? does nvidia's earnings on the fed? now you're talking about other mega caps. your giving all the reasons why people continue to put money there. >> yes, but i would apply that rationale to the top 50 or 70 names or top 100 names. there are times where, with the federal reserve has to say, is crucially important. that's been true for 10 to 15 years, because they can engender a risk-taking environment the likes of which we've seen intermittently over the past few years which results in multiple expansion or profit expansion on the part

of some companies. and that's all good for the broader risk lands. right now, i don't think that matters. the economy is humming, for lack of a better word. corporate america continues to do well, and i don't think whether the fed cuts one or three times affects most of them. think of the number of megaprojects that are being built in this country and the data center mansion, the inflation reduction act, nothing that's going on in the industrials base tells me that they are at all concerned about race. it's not let's just pick a random large-cap name out of the hat. eden is not going straight up. because investors think rates are going to come down. it's going up because of the broader environment in which they are operating. >> if you get, let's just say, a continued unwind in the momentum trade, and rates remain a little picky -- we will find out what happens with

pc on friday with the markets closed. but if rates remain sticky, the momentum trade unwinds. does that in any way undermine the idea that the market will continue to broaden? >> no. for starters -- listen, momentum tech -- is momentum tech, the growth -- there certainly some element of that. but no, i don't think so. look at a chart of amd, for instance. amd has got to be 50 to 20% off its high already. intel has got to be 15 or 20% off its high already. i think you've already seen rotation not just more broadly into energy, but in the semi conductor within tach. again, i don't think that is exclusive what has happened with the federal reserve, but i also don't think it's because of the federal reserve. >> let's bring in victoria hernandez. chris, good to see you here. you've heard what mr. green has suggested. if growth underperforms in the

weeks ahead, is that an issue? are we having enough broadening that that doesn't really matter as much as we once thought? >> i think what you saw is that positions have gotten too big for portfolios. they have to pare them back. late yesterday, you saw a selloff that looked like it was from fixed equity to income. >> of growth underperforms in the short term, i don't think it really means all that much. we need to see a little pullback in repricing of risk, and that's helpful. >> are you bullish going forward? >> we think we could have a market melt up. >> you seem pained to say that. >> because it's difficult for you to wrap your arms around that. >> i want to know why. give me the psyche of wife. >> we are putting so much more emphasis on positioning. if you got the positioning right this year, it really didn't matter what you thought about the market. if you got the positioning

wrong, you are not too happy. we focus more on positioning, and we are in a situation where the market is not really looking evaluation. the market is looking at relative growth. they're looking at the feds saying, the macro is a lot hotter than we thought, but we are still going to apply the same amount of accommodation. so to a certain degree, we are back to 2021 were you have an economy that doesn't need the commendation but is going to get it. >> victoria, you say you are still cautious. i can't remember for my roast recent conversations you haven't been cautious. why still so cautious as this market continues to, you know, leave the bears that are more cautious by the side of the road? >> i think being cautious for us doesn't mean that we are not fully invested. we are just trying to be cautious on where we are positioning. you're talking about positioning being a key component for people. there is this moment of trade going on, and we think it's going to continue in the short

to intermediate term. you got 98 consecutive days at the s&p above the 50 day moving average. you still have more of this ai component that is leading. and you got this rotation in the market of sectors where their constituents are making new highs, going from tach to energy. you got 80% of the constituents in the energy sector that made new three month highs on monday. so there is this momentum, but use will have some red flags out there. you still have some of the tailwinds of this market over the past few months that i think are going to pull back. the fed being one of them. i do not believe we are going to get three rate cut. you have the market believing this, but it's back in place after the last meeting, and i think you have to be cautious about that, and i will be a super rise to the market. i think the consumer is going to pull back. you are seeing interest payments as a percentage of disposable income surged 40% over the last year.

consumers are spending more than they are making, so all of that is going to come into play, and you got mixed data, right? regional fed reports were down. you got le eyes that did turn profit for the first time in two years, so there is just this mixed bag of data that we think leads to us being cautious on where we are putting our money to work. >> listen, i think there's a lot of what we just heard that is legitimate. i don't -- there's a lot to agree with. but at the same time, that hesitancy that victoria and chris, we have seen this for the better part of a year now. >> and heard it. it's the same refrain. it's all going to happen. it just continues to not happen. but it is eventually going to happen. that's the more conscious and bearish viewpoints that continue to settle. why would you be negative? >> not to take issue with both

of them -- but there's always mixed data. there's been mixed data for 15 years. but there's always things you can point to that will say x will happen, unbalanced, the economy is doing fine. were coming out of the earnings or we come out of the earnings recession. the ldi is starting to turn up. the ism is starting to turn up. some of the more bearish things on which would've hung your hat a couple of months ago are starting to turn. maybe you are getting that positive tailwind. one thing i would take issue with is the fed put. they're going to write to the rescue if something goes wrong. the fed is not cutting rates engendering that, they are not doing it because they believe correct or incorrect that the inflation environment is shifting in such an way that they don't need as much restriction. >> if the economy fell out of bed, they would raise rates. >> i would be the point. the reason why they are cutting

rates is not because ac broad- based or even narrow weakness throughout the economy. the cutting rates because they think they it into a position where they don't need as much restriction. that's terrifically positive for the equity market. it has been and is likely to continue. >> is of the whole thing just being overcomplicated? the next move is lower. unless there's a shock, okay -- with the caveat that there is a shock, that seems extraordinarily unlikely at this moment. if we know the next move is a cut, wise in that period, end of story? why overcomplicated? >> i think that's right. you are spot on. what we saw is, we should be in a tightening cycle right now. right now, the equity market should be down because we went from 7 to 3. so does the equity market really trade on fed funds? i don't think soap. the answer other interesting thing is, the equity market --

i think it was cpi a couple of weeks ago. they were up 7% and small caps were flat. why? because that's a situation that's very positive for growth. >> victoria, you suggest that there are ome warning signs in the positioning where others would say, not at all. it's actually healthy signs in the positioning, that this market can withstand a drop back in the so-called momentum trade, a pullback in the trade, as i mentioned. it's number six on the list of the best performing sectors of this month. the markets hung in there, they done just fine. >> yeah, the market has hung in, and it's part of this momentum trade that we have seen, and the one we think is going to continue in the intermediate term, and why you should be invested in the market. what you do look at some things like, stochastic indicators. it's above 90 now for 17 weeks in a row. that is extremely overbought when you look at that signal. it's only happened seven other times. so i'm not saying it is

doomsday. you know, six months ago, we would've called for a mild recession. now we don't think you'll probably have that. you'll probably see a slowdown and that's why we are still cautious. but i do think you have to agree the momentum is there. where i think we are going to see simkins earn is that i don't think the markets are going to risk bond in a positive way if the fed doesn't do what they expected to do. i understand in the long term, if they don't cut in june, they cut in september were only cut twice in three times, that's not going to have a huge change in the economic outlook over the next couple of years. i do think it makes a difference in the way the market reacts in the intermediate term. that's where i think we will get some pullback. i think it's where we can ceo school a little bit higher. i think the fed is not as restrictive as maybe the market anticipates it is. how can you say you are restricted when you are actually increasing your inflation expectations, increasing your growth

expectations, and still saying that you are going to be accommodative? it doesn't seem to make sense. i think there's going to be some shift with some pullbacks in the market. that is our cautious component. overall, i think you have to be invested and continue to find those areas like healthcare, like energy, that i think in the second half of the year will try to catch up to the rest of the market, and that's where you have some opportunity. >> the most interesting question coming into the new quarter is what happens at the nasdaq. it's where the focus point has been for obvious reasons. this month, it's underperforming. and certainly, the altimeter was only on half-time today. he's a holder of many of the mega cap stocks. it's not a bubble, okay? google trading at 19 times, and video, 31 times. that's not bubble territory. we continue to own those names in our portfolio.

he also suggests that if you look at the long-term, the historical peaks, it's not even close. >> we are not in a bubble. all this talk about the bubble is silly. if you're talking about the bubble, you probably didn't live through 1999. 1999 wasn't a bubble. >> or you haven't been investing in the stocks. as far as the nasdaq and some of the stocks -- you've heard me say this before. we think the communication stocks, which are the googles, the netflix of the world, does have good valuations. their positive momentum. those will continue to work. the economy is not really strong. there still a growth market. you only break momentum when you have a regime change. a regime change is usually going from contraction to expansion, from when you can drive a truck through and they can track tremendously. you don't see that. the things that are going to drive momentum across a point of reflection just aren't where they're going to need to be.

we are in the process of raising market risk. we are in the process of making market risk. that's a heck of a write up. at some points, it will push it too far, but we are not there yet. >> i think if you think this is a bubble, you have no idea what a bubble is. point and simple. whether it's the 90s, the japan, you've done no research whatsoever to ascertain what a bubble. >> we will leave it there. victoria, we will talk to you soon. we appreciate you having you here. the stocks we are watching as we head towards the closing bell. >> robin hood is popping after announcing its first ever credit card robin hood gold card. users can deposit into their robin hood account. the ceo telling cnbc the goal is for customers to have all their assets custody at robin hood with every financial transaction going through the company. and shares of coin base in the

red after the s.e.c. scored a big win in its lawsuit against the crypto exchange. a u.s. district judge ruled the claim, which alleges the firm engaged in unregistered sales of securities, can move forward with stock down 4%. >> thank you. we are just getting started here. next, apple off to a rocky start this year facing scrutiny over its lack of ai strategy. but is it about to turn it all around? star apple analyst eric woodring gives us his take after the break. we are life of the new york stock exchange, and you are watching closing bell on cnbc. the award-winning trading platforms. bring your trades into focus on thinkorswim desktop with robust charting and analysis tools, including over 400 technical studies. tailor the platforms to your unique needs with nearly endless customization. and track market trends with up-to-the-minute

news and insights. trade brilliantly with schwab. so this is pickleball? it's basically tennis for babies, but for adults. it should be called wiffle tennis. pickle! yeah, aw! whoo! ♪♪ these guys are intense. we got nothing to worry about. with e*trade from morgan stanley, we're ready for whatever gets served up. dude, you gotta work on your trash talk. i'd rather work on saving for retirement. or college, since you like to get schooled. that's a pretty good burn, right? got him. good game. thanks for coming to our clinic, first one's free. [alarm beeping] amelia, turn off alarm. amelia, weather. 70 degrees and sunny today. amelia, unlock the door. i'm afraid i can't do that, jen. why not? did you forget something? my protein shake. the future isn't scary, not investing in it is. you're so dramatic amelia.

bye jen. 100 innovative companies, one etf. before investing, carefully read and consider fund investment objectives, risks, charges expenses and more in prospectus at invesco.com. not all caitlin clarks are the same. caitlin clark. city planner. investment objectives, risks, charges expenses just like not all internet providers are the same. don't settle. you want fast. get fast. you want reliable. get reliable. you want powerful. get powerful.

get real deal speed, reliability and power with xfinity. she shoots from here? that's kinda my thing. >> we are back. apple the worst-performing mega tech stock today. increased regulatory scrutiny as well. our next guest these catalysts ahead that could drive

outperformance from here. let's bring in morgan stanley's erik woodring. >> scott, good to see you. >> why is the stock been such a dud this quarter? >> we have seen, for perhaps the first time in several years, a multi-quarter stretch of negative estimate revisions for apple. each earnings period we get to, the narrative is maybe the in quarter numbers are okay, what the future outlook needs to come down. it gets ratcheted down. alongside of that, we see four turns a multiple compression since august of last year. that is probably, simply put, as simple as i can make it. his other factors that play into that, but we have a stock trading at 170. >> why is it going to turn around? >> our thesis generally is two fold. if you look at the stock, we think there's relative asymmetry in the room was risk reward. call at 9%, 10% down aside from

here. a price target of about $220. call it 30% upside. 3-1 risk reward, but ultimately, you need a catalyst to go from 170 to 220. we do think once you get past the march quarter earnings and the june quarter guide, before then, the stock would maybe trade as it has been. but once you get that out of the way, kind of a clearing of that, which we thought would be the march quarter, we were wrong. it wasn't. you get closer to the developer conference. we think it will be fascinating in the sense that this will be probably one of the biggest software upgrades that apple has gone through in years. in instilling some of this generative ai technology into ios and then onto the iphone 16, giving users a reason to say, i need to upgrade my own devices. and maybe there's even some potential for ai -related services that we can get on the back of that. >> at prior times, of let's

call it stock chart discomfort, you have come on with me and said, look, i wouldn't add fresh money to adhere. and that wasn't that long ago, and then the stock went back up. here we are. we find ourselves questioning what we should do. what would your advice be n that regard today? >> my advice is simple. between now and the end of april, early may, the stock is going to trade likely sideways. there still concerns about china, the doj case filing last week, which to my surprise cut the market by surprise. once we get past march kohler earnings, this is a catalyst rich story. get the negative news out of the way. you have two positive catalyst in the june 10th developer day and the mid-september iphone lunch. if you need to be tactical, there's going to be a month or you have a stock trading sideways. $170 with a positive risk

reward is a good opportunity to add to the stock. we've gone back over the last decade. this is the worst start to a calendar year that apple has had. again, with catalyst rich events coming up over the next four months, we think now would be the opportunity to take advantage of that, add to a stock that we believe is trading at a discount when you take into account what ai can do for the next iphone cycle. >> how do you assess the doj overhang here? you have to look at it in two ways. and how long do you think it's going to last? you can say, well, and prior instances of the government looking into these big cap tech companies, it amounts to a fine. it's a rounding error in the big story. however, if it drags on for years, you do have the suggestion by bill gates and others who lived it at microsoft of the distraction. and just as this new technology is taking hold called ai where apple is sort of playing catch up -- at least that's what the

narrative is. so you have the outcome, but also the distraction of the process. how would you assess both? >> the challenge of the doj case, and you are seeing this play out with alphabet in the market, is these things take years. you can go back to 2012 with the apple price-fixing doj investigation, something that was actually not all that complex took four years to resolve. now we are talking about the u.s. department of justice going after five different angles of apples closed ecosystem. that is going to be complex, that's going to take years to play out. >> we know how to discount that? >> it's hard to quantify what the actual outcome could be. i look at alphabet and say the doj investigation with them started in october of 2020. here we are about to approach closing arguments in may and the stock has almost doubled. my point being, if there are fundamental drivers that would ultimately influence on investors view of the stock,

that plays a more important role as to what's happening in this investigation behind the scenes really playing out. it is going to be a lingering overhang, don't get me wrong. but anything that changes again, in the iphone cycle, that will come to the forefront in investors minds far before any doj app. >> how high do you think the bar is for wwdc? again, put into context that also, the narrative now is, well, they better deliver. everyone else seemingly has delivered, and here we are still waiting. what does that do to expectations, and what kind of bar that this company now has to meet. >> i think you framed it perfectly. the bar is high. this is probably one of the most consequential developer conferences that we've had in years that i can remember. and so the bar is high. i can leave it as simple as that. but that's one function of

where the stock is trading today, but also a function of, you look at the mega cap. be the business models are a bit different. they're not necessarily trying to sell devices, like apple is. but at the same time, alphabet, microsoft, we are hyping up ai features last summer. apple is a year behind that. apple is historically behind. apple is usually never first to market, but ultimately, apple does need to deliver on multiple fronts here. >> not the first mover, but often times the best mover. i appreciate your time as always. that's erik woodring of morgan stanley. up next, ibm backing a new company looking to help investors change the market with ai. we will speak with the ceo. and ibm senior vice president just after this quick break. closing bell is coming back.

when it comes to investing, we live in uncertain times. some assets can evaporate at the click of a button. others can deflate with a single policy change. savvy investors know that gold has stood the test of time as a reliable real asset. so how do you invest in gold? sandstorm gold royalties is a publicly traded company offering a diversified

portfolio of mining royalties in one simple investment. learn more about a brighter way to invest in gold at sandstormgold.com. with schwab investing themes™, it's easy to invest in ideas you believe in. spot a trend in electric vehicles? have a passion for online gaming? or want to explore the space economy? choose from over 40 themes, each with up to 25 stocks identified by our unique algorithm. buy it as-is or customize to align with your goals. all at your fingertips. schwab investing themes. 40 customizable themes. up to 25 stocks in just a few clicks. ♪♪ frustrated by skin tags? dr. scholl's has the breakthrough you've been waiting for. the first fda-cleared at-home skin tag remover clinically proven to remove skin tags safely in as little as one treatment.

you know doug, ever since switching to workday you've been a real rock star. rock star?

what do you know about rock stars? billy idol? i mean where's the skin-tight leather? my shoes are leather. where's the unnecessary zippers? that thing! billy, rock star is just how doug feels when he uses workday. thanks, rory. i'll show you rock star! be a finance and hr rock star. workday. for a changing world. billy idol just stole your golf cart! >> welcome back. the ai revolution, sure to change many parts of our lives in the year ahead, including how we invest in the markets. a platform wants to be at the forefront of that transformation and is partnering with ibm to make it

happen. of course, you know him as a cnbc senior analyst, and rob thomas is ibm's chief commercial officer and senior vice president of software. both are with me here. good to have you here. tell me what it means. >> there $6 billion under advisement, ai tools to create portfolios, to pick stocks, and we are transporting with ibm's assistance that very same technology, though individual investors can take a look at as many of the thousands docs and etf's and determine what they're going to do in the next month based on forecasted models. we use artificial intelligence to determine these forecasts, and what we seem is a lot of investors, have been asking generative ai services what stocks they should pick. were trying to give them a leg up by offering them forecasted rate over time, transparency, accuracy, and also a decrease

in confidence. >> soy predictive outcome for what stocks are going to do. research actual stock selection, fundamental technical analysis, the whole nine yards. >> sellthrough watson x, all of that is encompassed every day in the millions a bit of information that are taken in that result in a forecast for any individual's dock. if you go in the app, it would give you a forecast ated return over 30 days. the degree of confidence that that will happen, and the accuracy over time. >> this is live now? the mac absolutely. >> what is ibm's role in this technology? >> watson x is embedded into ai, and we launched watson x about a year ago, working with many clients around the world. we have a lot of companies coming in saying we want to use watson x to be our product better. ibm technology teams working with ron steen to say, how do

we deliver an outstanding user. and unique insights? we believe ai should augment decision-making. it's about, how do we look at all this data, collect the data, organize it, and then present recommendations that you can bring to a user. >> i like the word augment rather than replace. one of my first thoughts, obviously, was, well, what does this mean for the traditional adviser? >> we have a tool for individual investors, and we have coming within the next month a tool for advisers that will allow them access to portfolio construction tools, model portfolios, which -- the entire industry is moving in this direction, where the less time they spend worrying about the investment process, the more time they are free to build their businesses by dealing with existing clients or prospecting for new ones. we are really giving them additional tools as we are a self-directed individual trader

in making those decisions and putting together their portfolios or single stock selections. >> i'm also thinking about -- as we move to a more democratized investing world, it does have the possibility of removing the so-called expert for the adviser out of the equation in some sense, or maybe the individual investor tries to do this on their own with the help of the watson, you know, powered platform that you have. how should i think about that. >> we are not making recommendations. we are not making decisions for people. were giving them the tools with which to make other decisions. were going to have multiple periods in which these forecasts are made. out to one year. if you are trading zero day single stock options, you'll be able to look at the app or the website and determine what stock is going to do, what

individual stock will do over the course of a week or day or month and trade or invest accordingly. it's not going to replace anything, because we are not telling people what to do. we are offering them an assist. with powerful engines, they have more bits of data through watson x every single day. it's just more information than any single adviser can taken on their own. >> as we wrote in the intro, ai is going to transform our lives in ways we don't even know what this point. there are a lot of fears about it, clearly, but how are you thinking about ibm harnessing this tech knowledge he so that it used in a positive way question mark >> it is technology, not magic. ai is probably the greatest productivity tool we've ever had access to. when you think about the wealth adviser example, this is making them way more productive. ai can read it, summarize it, and surface result. if we look at clients were working with, it's around how do you automate tasks that are repeatable tasks?

we big about things like back office automation, customer service being used widely now for code, so this is really about a productivity tool, because every company now is focused on productivity. >> what about recommendations on shorting stocks or assist, since you want to use that word on things like that. and also the user cost. what is associated? >> on the app, you will see the verticals we have and the cost associated with each level of sophistication we offer from free all the way up to a more sophisticated tool, what we call a hi-fi fan, hi-fi fanatic, and the advisory community. so with respect to shorting, we will have forecasts that say stocks are likely to go down 40% and then an 80% confidence rating and an accuracy rating that goes along with it. if someone is inclined to do that, and that's entirely up to them, they will have an entire list of over thousand stocks with forecasts about in which direction these items may go.

>> i'm glad you share the story with us. >> good to see you as well. >> this is my first time. >> post 10 and 11 way back in the day. >> hopefully it's not the last. all right. we are tracking the biggest movers as we head into the close. pippa stevens is standing by. >> one copeland vaccine makers boosting the stock. we have all the details coming up next. rylee! from rylee's realty! hi! this listing sounds incredible. let's check it out. says here it gets plenty of light. and this must be the ocean view? of aruba? huh. this listing is misleading.

well, when at&t says we give businesses get our best deal, on the iphone 15 pro made with titanium. we mean it. amazing. all my agents want it. says here...“inviting pool”. come on over! too inviting. only at&t gives businesses our best deals on any iphone. get iphone 15 pro on us. (♪♪) meet ron. ron eats, sleeps and breathes hoops, but oh how he can nail a software solution. you need ron. ron needs a retirement plan. work with principal so we can help you with a plan that's right for him. let our expertise round out yours.

>> 15 minutes to go before the bell rings, and look at the doubt. it's up now by more than 400 points. goldman sachs, one of the big performers today. home depot is an outperform her. caterpillar. a pretty widespread move here for membership in the doubt. honeywell is having a good day, as is boeing and apple. which is accounting for about 20% points. we close back to pippa stevens. >> merck is popping after the fda approved the pharmaceutical companies drug to treat a rare and deadly lung disease. the approval is a big win as the pharma firm looks to diversify after his blockbuster cancer drug sees a shrinking market share. after announcing plans to move

three of its vaccines to final stage trials. this update brings moderna closer to having products on the market beyond just it's covid shot, which is seen plunging demand. >> appreciate that. teslas there's driving higher. we'll find out what's behind rserads pop and what brian getn h to tell me and what he had to say about the evening a. that's coming up when closing bell is coming right back. boring does. great job astro-persons. over. boring is the jumping off point for all the un-boring things we do. boring makes vacations happen, early retirements possible, and startups start up. because it's smart, dependable, and steady. all words you want from your bank. taking chances is for skateboarding... and gas station sushi. not banking. that's why pnc bank strives to be boring with your money. the pragmatic, calculated kind of boring. moving to boca?

boooring. that was a dolphin, right? it's simple really, for nearly 160 years, pnc bank has had one goal: to be brilliantly boring with your money so you can be happily fulfilled with your life... which is pretty un-boring if you think about it. thank you, boring.

they're waiting for you. hey, do you have a second? they're all expecting more. more efficiency. more benefits. more growth. when you realize you can give your people everything, and more. thank you very much. [applause] ask, "now what?" here's what. you go with prudential to protect, empower and grow. with everything you need to deliver, you guessed it... more. one more thing... who's your rock? learn more at prudential.com

>> coming up, rh reporting

results of the top of the hour. the retailer having a volatile few months. a rundown of what to watch for when those numbers at the table. that after the break as we take you inside the market zone.

business. it's not a nine-to-five proposition. it's all day and into the night. it's all the things that keep this world turning. the go-tos that keep us going. the places we cheer. and check in. they all choose the advanced network solutions and round the clock partnership from comcast business. see why comcast business powers more small businesses than anyone else. get started for $49.99 a month plus ask how to get up to an $800 prepaid card. don't wait- call today.

♪♪ ♪♪ ♪♪ ♪♪ ♪♪

>> we are now in the closing bell market zone. commentator mike santilli here to break down the crucial moments of this trading day. plus, morgan stanley cutting tesla delivery estimates. and martha coombs looking forward to earnings coming out in overtime today. we may hit a no all-time high, a record close for the snp. 5241.5. that's the number you need to watch. we have a new record close.

>> first in less than a week, but three straight down days. i mentioned four bad closes in a row. he never got far from the high. we continue to just mature right at the highs, finding a way -- because there's a lot of turnover today in the index performance. you look at the winners, and the losers. it is and phase, and it is vf corp. and all the stuff that's been beaten up, and nvidia is down and chipotle is down. you are in the current of a lot of this rebalancing type action. it is happening in a very healthy way. that being said, i still think the question remains, we've managed a four week momentum underperformance. the highest momentum stocks for 4 weeks now have actually really cooled off relative to the rest of the take. the big question was, is something mechanical going to blow loose because you had such extreme performance and momentum?

it's kind of a don't short a dull market type of rule. i'm still on the lookout for something that deserves the soft landing case, but it's not happening. >> honeywell, banks, goldman. >> the thing about industrials is i feel like there's a lot of momentum. eaton corp. is a 30 times earnings, doublets average for the last 20 years. that's not going to hold if people start getting more doubts about the macro picture. >> sharply lower, as you probably know, for the year. brad gerstner told me earlier today that he bought shares this weekend. listen. >> you start with probably the best product engineer ceo on the planet, a stock that is sold off a lot. when everybody else is negative about things, like negative on tesla, that's really start getting excited. particularly when they are run

by a founder as extraordinary a product leader is elon musk. >> let's get to fill lebeau for moe on that. >> when you look at the delivery numbers that we get next week, the consensus at least today, and i expect this to come down by monday, because will probably get the numbers by monday, the consensus is 71,000 vehicles delivered in the first quarter. last year, they did just over 422,000. there are a few whispers that there might be a rare year-over- year decline in deliveries. i'm not sure that will happen, but the morgan stanley estimate is getting attention today for 425. because it's coming from adam jonas. he will look to him and say, what are you expecting from tesla? if you take a look at the deliveries from tesla, last year they delivered 1.81 million. the expectation from adam jonas is now it's going to be about 1.94 million. it was the consensus of 2.06 million.

i expect that consensus to also come down. we get these numbers sometimes early next week. my guess is probably before the bell on tuesday is when we might get the q1 delivery numbers. >> as we said, he bought the stock. they probably missed their numbers for deliveries. doesn't matter, because the stock sold off so much, and you still have musk and it's still an attractive name. >> i can't argue with that. everything he is saying and everything he said during your interview -- spot on in terms of if you are longed for tesla. you have to go through this patch here were everything, when it comes to electric vehicles, it's just not growing as quickly. i know that's not what the bulls want to hear. the tesla maniacs online who are saying, that is crazy. there are just fewer of the electric vehicles, including teslas, being delivered relative to expectations. the growth rate is slowing down. still growing, just not quite as quickly.

>> what we should expect from rh in ot. >> well, one of the big things scott that investors will be watching for with rh is whether the high-end furniture retailer can get back beyond discounting and get its inventory levels right. it has really been a tough home market environment. we are looking for adjusted earnings of one dollar and 67 per share and revenues of 775 point million dollars, which would be a fraction from a year ago. last quarter, the company missed on sales, operating, and gross margins, and management that they intend to work on gaining share here in the u.s., even as they look to expand internationally. >> appreciate that as we whited down. we have less than two minutes to go. right now, we would have a new record closing high for the s&p , as we inch towards 40 k.

>> obviously, we are kind of putting a cap on a pretty good first quarter. it seems like today seemed like we were going to get all the executions done. maybe we get a long weekend out of it. the s&p has spent the last week or so right here between 5200 and 5260. and so very, very tight range. again, don't short a dull market. will see what the new quarter has for us. i can see a lot of scenarios were everything has had to kind of come in right, which yields in a comfortable zone. we absorb a fed message where we are going to be a little slower than we anticipated. to me, the question is, everyone assumes the economy is humming right along. and it's not -- the consumers are hanging in there. i think there is surprise on growth if it were to look like it was getting a little ragged. but for now, it just doesn't matter when you have this type of earnings growth expectation and energy. >> i see we get a surprise on

pce, too. it's going to either be a fumble or they're going to start up down the field again. >> people are clenched up ahead of it. but there's more reaction on sunday evening. >> a new record close. i will see you tomorrow. well, we just got it, a record close from the s&p 500 as the dow snaps three-day losing streaks. that was the corecard of wall street. welcome to closing bell overtime. i am morgan with john ford. >> also stopping a two day losing streak, but the s&p tech sector is in the red. energy is the big winner here today. coming up, the chief investment officer and recent market swings and where in the world